Depending on when you petition for Social Security retirement benefits, the payment amount may vary. When you reach the age of 62, you will be eligible to receive checks or direct deposits from the Agency. To be eligible for these monthly benefits, you must have worked for at least ten years and earned 40 labour credits.
For your information, it is possible to seek Social Security retirement benefits at age 62. Nonetheless, you will receive a significant decrease. SSA will receive approximately 30% of your monthly payout.
Social Security: 62 vs 67 vs 70
To understand the difference between filing at 62, 67, and 70, consider this example. For example, if you register at age 62 and are eligible for a retirement benefit payout of $1,465, you might have received a cheque for around $1,569 if you had just waited until you reached 63.
If you had waited until you were 67 years old to claim Social Security, your monthly payment would have been $2,119. It’s like comparing chickens and ostriches.
No sure, the payment at 67 will be fantastic, however the bill at 62 will be a huge disappointment. A monthly difference of $654 can be a financial lifeline for many retirees in the United States.
Now that you know that a $1,465 cheque at age 62 could be worth $2,119 if you filed at age 67, it’s time to find out how much more you could obtain if you gained delayed credits.
Remember that if you wait three years after attaining Full Retirement Age to enrol for Social Security, you can receive an additional 24% each month.
If you file at the age of 70, you will receive $2,634. Once again, the amounts at 62 and 70 cannot be matched financially. That will cost $515 more than filing for Social Security at age 67.
If you add $515 and $654 together, filing 8 years later would have resulted in a $1,169 increase in Social Security benefits. Of course, this is only for people who are physically able to continue working. Furthermore, some retirees may not require this money to make ends meet, so filing at age 70 is unnecessary.
